Why are so many people in debt? How will they cope when their debts are recalled?
I have nothing to write home about and live hand to mouth, but I am not in debt and only buy something if I have the money. Why are people not worried about the debts they incurr? I wouldn't be able to sleep with worry if I owed any money to anyone.
Answers:
People get into debt for many reasons. Some get into debt because they can't control their spending, which is something negative. However, some people get in debt to build their credit rating. If you use your credit, pay bills ontime, and over a period of time keep getting favorable ratings, your score goes up and up! This leads to certain benifits like the ability to get loans easier, lower interest rates, and less worry about finances. However, it takes careful planning and you definitely need patience and self-control. You have to be very smart and think of ways to build your credit without taking on too much debt though. I don't have any trouble sleeping when I am in debt- as long as I know I have a solid plan to achieve my credit goals and get it paid off.
I want to congratulate you, although I would probably shoose to at least go into debt for a home. We are a nation of buy now pay later folks. Many people each year are finding themselves in a world of hurt. All it takes is one catastrophe.
I don't think people plan on being in debt. Not everyone can outright afford everything they need. In my case, I have many medical bills that I am trying to catch up on. Wasn't like I planned on going to the ER and therefore saved up my pennies for it!!
People are in debt because they leap before they think and they like to live above their means. For many it is better to look like you have a lot and have tons of debt than to just accept their status. For certain items you usually must incurr debt such as a house or car, but I agree with you that people are getting out of control. Those who live simply have less to lose and cherish their items dearly. Those with everything could lose so much and still have a hard time deciding which of those things was really important to them..
I think most people are inexcessive debt (nearly all of us incur some debt, unless you have the cash to buy a house, fund your college education, etc.) because they buy into the notion that if they have "this" they will be happy or their life will change. It may bring a brief moement of hapiness, but it soon gets old so they move on to the next thing.
Another problem is that people don't save money. Then when an emergency happens (and we all have them) they have to go further in debt to cover it.
Many people have overcome debt problems and have learned to manage their money wisely, so don't give up hope (or lose sleep!) over it. Instead, just become smart about your money.
champagne lifestyle on a beer salary. quickest way to debt. i don't own much but i don't have to worry about someone knocking on my door wanting money that i owe. :)
your a fine example i salute you i am the same these people have to have the latest gadget at all costs then when they realise its too late
You think exactly like i do, i must admit i had a mortgage, it worried me so much, i paid it off as early as i could, am now in the position of not owing a penny to no one, which is how i like it, no i am not rich, i live on a modest income of a hard working man and woman, namely, my wife & myself, good luck to you in your life, may all your troubles be little ones.
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Answers:
People get into debt for many reasons. Some get into debt because they can't control their spending, which is something negative. However, some people get in debt to build their credit rating. If you use your credit, pay bills ontime, and over a period of time keep getting favorable ratings, your score goes up and up! This leads to certain benifits like the ability to get loans easier, lower interest rates, and less worry about finances. However, it takes careful planning and you definitely need patience and self-control. You have to be very smart and think of ways to build your credit without taking on too much debt though. I don't have any trouble sleeping when I am in debt- as long as I know I have a solid plan to achieve my credit goals and get it paid off.
I want to congratulate you, although I would probably shoose to at least go into debt for a home. We are a nation of buy now pay later folks. Many people each year are finding themselves in a world of hurt. All it takes is one catastrophe.
I don't think people plan on being in debt. Not everyone can outright afford everything they need. In my case, I have many medical bills that I am trying to catch up on. Wasn't like I planned on going to the ER and therefore saved up my pennies for it!!
People are in debt because they leap before they think and they like to live above their means. For many it is better to look like you have a lot and have tons of debt than to just accept their status. For certain items you usually must incurr debt such as a house or car, but I agree with you that people are getting out of control. Those who live simply have less to lose and cherish their items dearly. Those with everything could lose so much and still have a hard time deciding which of those things was really important to them..
I think most people are inexcessive debt (nearly all of us incur some debt, unless you have the cash to buy a house, fund your college education, etc.) because they buy into the notion that if they have "this" they will be happy or their life will change. It may bring a brief moement of hapiness, but it soon gets old so they move on to the next thing.
Another problem is that people don't save money. Then when an emergency happens (and we all have them) they have to go further in debt to cover it.
Many people have overcome debt problems and have learned to manage their money wisely, so don't give up hope (or lose sleep!) over it. Instead, just become smart about your money.
champagne lifestyle on a beer salary. quickest way to debt. i don't own much but i don't have to worry about someone knocking on my door wanting money that i owe. :)
your a fine example i salute you i am the same these people have to have the latest gadget at all costs then when they realise its too late
You think exactly like i do, i must admit i had a mortgage, it worried me so much, i paid it off as early as i could, am now in the position of not owing a penny to no one, which is how i like it, no i am not rich, i live on a modest income of a hard working man and woman, namely, my wife & myself, good luck to you in your life, may all your troubles be little ones.
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